Why do high-power chips need new cooling materials?

  • As the power consumption of a single GPU reaches the kilowatt range, conventional air cooling and copper-based materials are gradually approaching their physical limits in spreading localized hot spots and controlling chip temperatures.
  • Diamond has a thermal conductivity of approximately 2000–2200 W/(m·K), or 5–6 times that of copper. Its thermal expansion coefficient mismatch with silicon is also an order of magnitude smaller than copper’s, helping conduct heat away from the chip and match the materials’ thermal deformation.
  • As chips made using 3-nanometer and more advanced processes enter commercial use, localized heat flux density may exceed 1000 W/cm² when accelerators operate at full load, making near-chip heat spreading a critical step.

What progress has been made in commercialization?

  • In February 2026, Akash Systems delivered Nvidia H200 GPU servers equipped with diamond cooling technology to India’s NxtGen AI; in March, it introduced AMD Instinct MI350X servers using the same technology.
  • Western Securities believes that diamond production capacity is concentrated in China and that an industry cluster has formed in Henan. It says the cost for Chinese companies to shift from lab-grown diamonds to producing and processing cooling materials is relatively low, and that they can draw on supporting capabilities across the supply chain.

How far have Chinese companies’ products progressed?

  • Sinomach Precision Industry has developed a product portfolio spanning single-crystal diamond, polycrystalline diamond and diamond-copper composites. Its CVD single-crystal and polycrystalline diamond products have entered validation by leading industry customers, while diamond-copper composite samples have been submitted to key customers for validation.
  • Power Diamond said the first phase of its semiconductor high-power heat sink project has entered production. Huanghe Whirlwind has a technical foundation in diamond synthesis equipment, raw and auxiliary materials, and applications.